FBC
UPFRONT» Q&A Avoiding High Employee Attrition
Rates Saves Time, Money In the fitness industry, we focus on our members a lot. We want to make sure they are happy, have multiple options and that our facility is what they expect. One aspect of the business that can be overlooked is our employees.
Q:
“How do you measure employee attrition?
And, what are some “best practices” for increasing employee retention?”
result in unhappy employees and burdensome costs, like advertising, interviewing, background checks, training, etc.
A:
Measuring attrition rate One helpful way to measure attrition is determining
your monthly turnover rate. To do this, take the month- ly turnover number, divide it by your total number of ac- tive employees, and multiply by 100. This will give you a monthly turnover rate that you can seek to improve. Another important measurement is determining em-
ployee turnover rate within the first year of employment. To calculate this, divide the number of first-year employee separations by the total number of separations during the same period, and multiply by 100.
Practices for increasing employee retention Review job descriptions for accuracy: Be sure that job
descriptions accurately describe duties, pay and employer expectations. This helps weed out applicants who are un- likely to perform well in the position. Create a positive work environment: In addition to pay-
ing employees a fair income, find creative ways to acknowl- edge and encourage good performance in the workplace. Hold managers accountable: Examine whether front-
line managers are contributing to the attrition rate. Train these managers so they understand what leads to higher retention, and reward those who get good results.
Tex McIver senior partner, Fisher & Phillips LLP
14 Fitness Business Canada May/June 2013 ®
Many employers worry about employee turn- over, want to know how to calculate it and want to learn how to lower it. High attrition rates can
business at one venue to start fresh at a new and exciting one. Often new clubs are desperately seeking professionals with experience and will create better pay opportunities for people to “jump ship.” It’s an unfortunate trend, but some- thing that is a reality. We’ve found that the more-successful clubs conscious-
A:
ly take time and energy (and, of course, have the financ- es) to reinvest in staff. Quarterly all-staff meetings create a sense of family and strengthen a team’s emotional commit- ment with a club. Rewarding individuals and recognizing achievements consistently builds trust and confidence as well. These, combined with providing professional devel- opment opportunities, are all examples of how to make a workplace great, not just good. Lastly, as important as it is to create an exceptional mem-
ber experience, we believe that creating a dynamic and ex- ceptional working environment for employees is just as im- portant. We must all remember that members feed off the energy of the staff, so creating a unique and dynamic work- ing environment is where that starts.
Bobby Verdun senior partner, Atwood Consulting Group LLC
As we all know, there are continually more clubs being built, and with this comes opportunities for professionals who have not yet solidified their
Reprinted with permission from IHRSA. For more information visit:
www.ihrsa.org/industryleader
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